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Thread: GM confirms it will close 1,100 dealerships

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    GM confirms it will close 1,100 dealerships

    Right after Chrysler announced that it was closing 700 dealerships, GM now announces that it is closing 1,100 of them.

    Want to know what that means? A whole LOT of car salesmen are going to have to look for another line of work. That's just about the last thing we need - More politicians. Yuck!!

    Article is here.
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    Re: GM confirms it will close 1,100 dealerships

    Quote Originally Posted by danarhea View Post
    Right after Chrysler announced that it was closing 700 dealerships, GM now announces that it is closing 1,100 of them.

    Want to know what that means? A whole LOT of car salesmen are going to have to look for another line of work. That's just about the last thing we need - More politicians. Yuck!!

    Article is here.
    Many dealerships cary more than one brand of vehicle, so the losses might not be as severe as one might think -- but certainly there will be a good number of them.

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    Re: GM confirms it will close 1,100 dealerships

    I plan on buying Ford next time anyway.

    Stick with a company that at least knows how to stay in business.

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    Re: GM confirms it will close 1,100 dealerships

    Do some towns and cities have more than one dealer of the same brand? I know in Europe it happens and I always found it insane. No reason to have more than one dealer of Ford in any low to medium town up to even city size.
    PeteEU

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    Re: GM confirms it will close 1,100 dealerships

    Quote Originally Posted by Dayton3 View Post
    I plan on buying Ford next time anyway.

    Stick with a company that at least knows how to stay in business.
    That's why I buy imports. They make cars based on what the consumer wants in terms of looks and efficiency. The America brands have yet to learn that and they are not going to learn that if people are settling with buying American just for the sake of buying American. Want me to buy American? Then build a car that can compete with the import market.

    Personally I stick with my Audi's.
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    Re: GM confirms it will close 1,100 dealerships

    Quote Originally Posted by PeteEU View Post
    Do some towns and cities have more than one dealer of the same brand? I know in Europe it happens and I always found it insane. No reason to have more than one dealer of Ford in any low to medium town up to even city size.
    Yes, depending on the size of the population and sometimes the grandfathering in of older franchises a town or even region could end up with multiple dealerships in the same line. In my city there are at least six GM carriers, however none hold the same exact line to my knowledge, there are at least two Ford dealers here, and I think two Chrysler dealers, that doesn't even speak to the 35 mile area and the smaller cities.
    Neither side in an argument can find the truth when both make an absolute claim on it.

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    Re: GM confirms it will close 1,100 dealerships

    Quote Originally Posted by PeteEU View Post
    Do some towns and cities have more than one dealer of the same brand? I know in Europe it happens and I always found it insane. No reason to have more than one dealer of Ford in any low to medium town up to even city size.
    Not at the same location but you will often find dealerships in the same general area that carry the same dealership name. Here in San Diego the Hoehn auto group has separate Honda, Audi, Mazda, Porsche, Infinity, Mercedes, and Acura dealerships.
    "Gold gets dug out of the ground in Africa, or someplace. Then we melt it down, dig another hole, bury it again and pay people to stand around guarding it. It has no utility. Anyone watching from Mars would be scratching their head."
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    Re: GM confirms it will close 1,100 dealerships

    Quote Originally Posted by LaMidRighter View Post
    Yes, depending on the size of the population and sometimes the grandfathering in of older franchises a town or even region could end up with multiple dealerships in the same line. In my city there are at least six GM carriers, however none hold the same exact line to my knowledge, there are at least two Ford dealers here, and I think two Chrysler dealers, that doesn't even speak to the 35 mile area and the smaller cities.
    That is what I mean. I understand one "store" having several brands even from competing car makers, but having multiple "stores" with the same brand in say a 50mile area is nuts if you ask me. And that is regardless of the population. Cars are not butter and milk for god sake, but a considerable investment for most people. They only hurting each other in the end and that is what shows now. I also read somewhere that GM and Chrysler have far far more dealers than Toyota and yet Toyota outsells them hand over foot.. wonder if the GM and Chrysler CEOs pre Obama every thought of that...
    PeteEU

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    Re: GM confirms it will close 1,100 dealerships

    If only we were CEO's of these companies, everthing would be okay wouldn't it? Sure.
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    Re: GM confirms it will close 1,100 dealerships

    Quote Originally Posted by PeteEU View Post
    That is what I mean. I understand one "store" having several brands even from competing car makers, but having multiple "stores" with the same brand in say a 50mile area is nuts if you ask me. And that is regardless of the population.
    No, It isnt. A 50 mile radius in some places might encompass >10 million people. One Chevy dealer cannot handle a 10 million person population base. A single Chvy dealer also means prices will be higher as there will be less competition -- smart people play dealers against each other to get the best deal.

    If a dealership is in business, it must be making money. If it is making money, there is enough business for it to do so. Closing the local dealer simply forces people to go farther to get what they want.
    Last edited by Goobieman; 05-15-09 at 03:16 PM.

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